Abstract

This paper investigates differences between High Growth firms and Non Growth firms. Finding common characteristics among High Growth firms enables more precise explanations to why they outgrow the rest of the population. Resent research results from the GEM project show that 9.8 % of the entrepreneurs create 75 % of the new jobs created by entrepreneurs (Autio, 2005). The threshold for High growth is usually defined without considering differences in growth levels across sectors. Implementing growth measured in relative terms to the firms sector should be investigated. The primary goal of this work is to investigate which measures differentiate between forms with High Growth and Normal Growth. Secondary, this research aims to test if growth defined as a relative measure, isolates the growth measure from life cycle influences. Third, this paper will investigate if external factors as age and size (Gibrat’s law) combined with the strategic vision (resource and capabilities) explain differences between high growth firms and normal growth firms.

Share

COinS